Nevada County picayune., 1887-09-08
JEFFERSON ON PAPER MONEY.

be at the bottom of the loan-bag. We are an agricultural nation. Such all one employs it's sparings III thc purchase, or improvement Of land or stocks. The lendable money ainUn. them. is chiefly that of orphans and wards, iu the hands of executors and guardians, and that which the farmer lays by till Ie has enough for the purchase in view. In such a nation there Is one and one only, resource for loans, sufficient to carry them through the expenses of Il war; and I.,at will always be sufficient, and iu tue power of an honest govern nent, punctual in the preserva- ton oflts faith. The fund 1 mean, is the mass of circulating coin. Every one knows, that although not literally, it is nearly true, that every paper dollar emitted ban- ishes a silver one from the circu. lation. A nation, therefore, mak ing it's purchases and payments with bills fitted tor circulation, thrusts an equal sum of coin out of circulation."- efferson's works, Vol. VI, P. 139.
 "In this way, l am not without hope, that this great, this sole re- source for loans in an agricultural country, might yet be recovered for the use of the nation during war; and, if obtained in perpetu. um, it would always be sufficient to carry us through any war; pro- vided, that in the interval between war and war, all the outstanding paper should be called in, coin be permitted to flow in again, and to hold the field of circulation until another war should require it's yielding place again to the national medium."-Jefferson's works, Vol. VI, P. Al.
 "Bank paper must be suppress ed, and the circulating Iedium must be restored to the nation to whom 1t belongs. H is the Oniy fund upon whieh they cam relr FOR LOANS; it is the only resource which can never fail them, and it is an abundant one for every nec- essary purpose. Treasury bills. bottomed on tdres, bearing or not bearing interest, as may be found pece ssary, thrown into circulation will take the place of so much gold and silver, which last, when crow ded. will find an efflux into other countries, and thus keep the quan. tum of medium at its salutary lev. el."-JeffersOns works, V. c., p. ly9.
 i've are now without any medi. um; and necessity, as well as patri. otism and confidence will make us eager to receive treasury notes, if founded On specific dres,"-Jeffer- son's works, Vol. VI, P. 3S2.
 "But Congress could then have issued treasury notes, payable within fixed period, and founded on a specific tax, the proceeds Ot which, as they come in, should be eXchangeahlc for the notes of that particular emission only. .'-J efter- sons works, Vol. VI, P. 3S2.
 Treasury notes of small as well as high denomination, bottomed on a tax which would redeem them in ten years, would place at our disposal the whole circulating me- dlum of the United States: Il fund of credit sufficient to carry us through any probable length of war. ."-Jefferson's works, Vol. VI, P. ll9.
 "In both cases, the truth IS, that capital may be produced by indus try, and accumulated by economy; but jugglers only propose to create it by legerdemain tricks with pa per. -JeffersOn's works, '. G., p 24l.
 "There is indeed a cOnvenince in paper; it's easy transmission from one place to another. But this may be mainly supplied by bills of Exchange, so as to prevent any great displacement of actual coin. Two places trading tOgeth- CT balance their dealings, for the most part, by their mutual sup. plies, and the debtor individuals of either may, instead of cash, rc. init the bills of those who are cred. itors in the same dealings; or may obtain them through some third place with which both have deal. ings. The cases would be rare where such bills could not be Ob tained either directly or circuit. ously, and too unimportant to the nation to overweight the train of evils flowing from paper circula. ton. -Jeflerson's works, V. 6, p 231.
 And it is for thi, petty addition to the cap- tai of the nation, this minimum of one dollar. ad ded to one hundred and thirty three and d third, or three tourths per cent. that we are to give up our gold and silver medium, it's intrinsic solldlty, its universal value. and its Savug'powers in time of war; and to sub ! ,tiutc for il paper. with all its train of evils | moral, political and physical, which l vii! not pretend to entnneratc. .Icifcrson's : works, Vol. VI, P. 236.
 "Thc bankruptcies in London. have re- with new force. There is no saying where this fire will end. perhaps in the general coniiagration of all their paper. If not now, it must crclons. With only twenty million, of coin, and three or four hundred millions of circulating paper, pub